We know who is to blame for rising costs

Chancellor Rachel Reeves during a visit to Siemens Healthineers in Eynsham, Oxford (Picture: Peter Cziborra/PA Wire)Chancellor Rachel Reeves during a visit to Siemens Healthineers in Eynsham, Oxford (Picture: Peter Cziborra/PA Wire)
Chancellor Rachel Reeves during a visit to Siemens Healthineers in Eynsham, Oxford (Picture: Peter Cziborra/PA Wire)
In the City Chambers the longest month is not January, but the period leading to setting the budget on February 20, and for most people in the city, the main focus will be on the rise in council tax.

Officers have proposed an 8 per cent increase in their baseline budget, which will be discussed at this week’s finance committee.

Of course, setting the context of this proposal is critical. The increase to the rate of employer National Insurance (NI) contributions will cost the council £19 million, with estimated additional costs of £16.7m for other organisations providing essential services.

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We know who is to blame for that. Rachel Reeves has said growth is her priority, but the only growth we see is the increase in taxes like NI.

Of course, there is another guilty party. Despite the extra funding provided to the Scottish Government, the “wise” folk of Holyrood seem to have settled on providing 50 per cent of councils’ increased costs, with nothing to support the increased costs of non-council services.

Of the £36m of extra costs, the council will receive around £9.5m in compensating revenue from the SNP. Big numbers, but what does it mean for you?

That extra £26m of costs is equivalent to just under 8 per cent in council tax terms. If the officers’ proposals were accepted, all of the increase in council tax can be blamed on Labour and SNP decisions, with the latter supported by the Lib Dems.

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For most organisations, increased costs would be met by efficiency drives, but the daft no compulsory redundancy policy means the council’s biggest cost, the workforce, only increases in size.

Planned savings are implemented at a pace slower than buses moving along Princes Street. The agreed homelessness review, aimed at driving improvements and cost savings was only agreed three weeks ago, despite having been included by the Conservatives in our budget one year ago.

Council services must be provided using modern technology at lower costs. Only the Conservatives will offer ideas for that, not forgetting how many of your pounds the council will take.

Phil Doggart is Scottish Conservatives councillor for Liberton/Gilmerton

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